2. Questions to the Cabinet Secretary for Local Government and Public Services – in the Senedd on 5 December 2018.
1. Will the Cabinet Secretary make a statement on Welsh Government support for rural councils? OAQ53046
The majority of Welsh Government support for rural councils is delivered through the £4.2 billion local government settlement. The settlement funding formula includes a number of indicators that account for varying degrees of population sparsity across all of our authorities.
I thank the Cabinet Secretary for his answer, but here's the reality: Powys is looking at a £14 million budget gap for the next financial year, Carmarthenshire has had to make £50 million-worth of cuts at the same time as raising its council tax by 22 per cent over the past five years, and citizens in Pembrokeshire are facing a 12 per cent increase in their council tax in the next financial year alone. Now, I realise that the Cabinet Secretary is dealing with a difficult budget and I realise that it is not the fault of the Welsh Government that the settlement is tight, but surely, given those figures, Cabinet Secretary, you can see that there must be something wrong with the way in which the money is being allocated. Because, if you compare this with communities in more urban parts of Wales, it just does not seem equitable or fair.
The Member is absolutely correct, of course, that we are dealing with a very difficult financial settlement, and I and the Cabinet Secretary for Finance have been absolutely clear in our response to this. This is a difficult settlement and we would prefer to be able to allocate greater funding to all local authorities. But, let me say this: I do regret the increasing tendency amongst many Members to pit different communities against each other. In the question from the Member for Llanelli she pitted rural against urban. In the past, we have pitted north against south, east against west. I do regret this tendency within our debate, because it does not reflect either the debates that we have with local government, and I do not believe it reflects the reality either. I will say to the Member that the finance sub-group, which provides representation for all authorities across the country, endorsed the settlement funding formula for the next financial year at its meeting on 27 September. In addition to this, I spoke to representatives of all political groupings in local government last week and I repeated to them the point I made in this Chamber during a Conservative Party debate on the funding formula and the settlement that, if I receive a letter from all four political groupings within local government asking for a review of the formula, then I will institute it. I have to say that the response on Friday was not very positive to that.
I think you're very fortunate at this point that the Member for Llanelli is not in the Chamber; I think you wanted to refer to the Member for Mid and West Wales.
For Mid and West Wales, yes.
Russell George.
Diolch, Llywydd. Cabinet Secretary, on 31 January, the leaders of both Powys County Council and Ceredigion County Council will be coming here to the Senedd as part of a Growing Mid Wales delegation jointly sponsored by the Llywydd, the Member for Brecon and Radnorshire and me. There'll be an opportunity to showcase produce and services from local businesses from across these two rural local authorities. Now, I appreciate you're not leading on the mid Wales growth deal, that's a matter for the Cabinet Secretary for the economy, but can I ask you what are you doing to support these two rural local authorities to boost the economies of mid Wales?
As the Member indicated in his question, that does not sit with my responsibilities, but I will say to him that the first time I met with the leadership of Powys County Council these matters were discussed. I met with the leadership of the authority and I said to them there that this Government wanted to be an activist Government, seeking to promote and support economic development across the whole face of the country, and that we would be active in supporting that. Certainly, in the conversations that I've had with all local government leaders across the country, we've always emphasised that we will continue to provide that level of support.